1

Invitation for Bid

EPGE G 02/2018-2019
[120] MW Power Plant Project in Ahlone

Capitalized terms defined in the Supplemental Request for Proposal (SRFP) have the same
meaning when used in this Invitation for Bid unless expressly defined in this Invitation for
Bid.

1. Invitation is sought by Electric Power Generation Enterprise (EPGE) to purchase

electricity from the Power Plant on IPP/BOO Basis at Ahlone in Yangon Region.
2. The proposal shall be submitted to office No. 27, Ministry of Electricity and Energy,
Nay Pyi Taw at 14:00 hr Myanmar Time by 29th July of 2019 in accordance with the
following particulars.
(a) Instruction;
(1) The Net Guarantee output of the Power Plant shall be minimum 120 MW
based on the quality of gas supplied by EPGE.
(2) The bidder shall perform as follows;
i) The successful bidder shall start the implementation of the project after
signing of Letter of Acceptance (LoA) during contract negotiation.
ii) The Commercial Operation Date (COD) of the Power Plant shall be
achieved within two hundred and seventy (270) days after the signing
date of LoA.
(3) The natural gas the amount of thirty six (36) million cubic feet per day shall
be supplied from the Yadana offshore gas field (Gas Composition is shown
in attachment-1. The gas supply shall be on pass through basis and the
successful bidder shall be penalized 150% of the cost of the additional gas
consumed based on the rate paid by EPGE to the Myanma Oil and Gas
Enterprise (MOGE) if the actual Heat Rate exceeds the guarantee heat rate.
(4) The bidder shall propose Net Guarantee Heat Rate of the Power Plant at any
site condition based on higher heating value of Yadana gas in accordance

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 2

with the Net Guarantee output and the natural gas amount of Thirty Six (36)
million cubic feet per day.
(5) The maximum proposed Net Guarantee Heat Rate of 100% load at any site
condition based on the high heating value of Yadana gas shall be 9020
Btu/kWh and the minimum Net Guarantee output shall be 120 MW.
(6) The Concession period for the Power Plant shall be five (5) years from COD.
(7) The take or pay of power purchase shall be yearly basis and the take or pay
amount in MWh is seventy five (75) percent which shall be calculated based
on the following formula
Take or pay amount (MWh) = 0.75 * the Net Guarantee Output (MW) * 8760
(hr)
(8) All the payment for the purchase of electricity shall be made in Myanmar
Kyat. If the relevant payment is invoiced in USD, the exchange rate to
convert USD to Myanmar Kyat of the Central Bank of Myanmar on the date
of payment shall be used.
(9) The construction and operating of Power Plant shall be complied with the
laws, rules and guidelines stipulated by the relevant departments and
organizations.
(10) The successful bidder shall pay all kind of applicable tax including but not
limited to import duties, custom duties, commercial tax, withholding tax,
etc. during construction and operation period. EPGE shall not pay any kind
of applicable tax.
(11) The bidder shall propose tariff including all kind of tax applicable in
Myanmar. (ANNEX C of SRFP)
(12) The proposed tariff shall be fixed for the entire Concession Period. EPGE
shall not accept any conditional or alternative tariff proposal.
(13) EPGE shall not make any down payment. EPGE can only make the payment
on monthly basis in Myanmar Kyat.

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 3

(14) Unless the successful bidder can achieve the COD within the period
pursuant to 2.(a)(2)(ii), Kyat thirty million only Kyat 30,000,000 per day shall
be penalized for delay period.
(15) In case of Power Plant implemented based on land-based Gas Engine, EPGE
will provide the land area of approximately five (5) Acres, which is located at
Ahlone Power Plant attachment-2, in accordance with the instructions
stipulated in the Instruction No.(3/2018) dated 10th December 2018 from the
Presidential Office. But land preparation for Power Plant shall be arranged
by successful bidder. The successful bidder shall pay land lease fees to EPGE
at the rate of 12,141 USD/acre/year.
(16) Bidder can propose alternative location or solution for the Power Plant at its
own arrangement and cost without deviation from the any other
requirements of this Invitation for Bid and SRFP, if the land area provided by
EPGE is not sufficient to implement 120 MW Power Plant.
(17) In case of Power Plant implemented based on Power Barge and Power Ship,
the bidder shall arrange mooring area for the Power Barge/Power Ship at its
own cost. The mooring charges shall be borne by the successful bidder at
the rate as per rule and regulation of relevant departments and
organizations.
(b) Technical Particulars
(1) Description of the manufacturer/country of origin for major equipment such
as Power Generation Units, transformers and protection equipment shall be
provided;
(2) To state full technical specifications of major equipment and efficiency. The
Net Guarantee Heat Rate based on Higher Heating value @ any site
Condition, 100% Load Condition, 50% Load Condition of the Power Plant
shall be clearly mentioned and EPGE will calculate the fuel cost
(UScents/kWh) based on that Net Guarantee Heat rate by using the
following formula “Fuel cost (UScents/kWh) = Net Guarantee Heat Rate
(Btu/kWh) * gas price (USD/MMBtu)/10,000” (ANNEX B, EXHIBIT 5 of SRFP);

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any third party without the written approval of EPGE. All rights reserved.
 4

(3) To state the capacity and quantity of the Power Generation Units to be
installed;
(4) Designs and construction works for Power Plant shall be complied with
international code and standard.
(5) To submit the proposed layout plan for the Power Plant within the land area
provided by EPGE.
(6) The Power Plant shall be connected to 66 kV Switch bay of new 66 kV Gas
Insulated Substation (GIS) constructed by EPGE (attachment-3). All cost
related to connection of 66 kV Switch bay shall be borne by the successful
bidder.
(7) The unit generation shall be read by the energy meter (primary and back
up) installed at the 66 kV Switch bay of new 66 kV GIS.
The accuracy class of energy meters is ±0.2%.
(8) Protection relays for the machine shall comprehensively be included and the
specification shall be complied with the standard of EPGE (To state in
details of the specifications)
(9) Black Start Facility shall be included for re-starting of the Power Plant after
system black out.
(10) The successful bidder shall arrange all required gas supply infrastructure
including new gas pipe line, filtering skid, pressure regulation skid and
metering skid, to get required amount and pressure of natural gas for the
Power Plant from the existing gas supply infrastructure mentioned in
attachment-4 at its own cost.
(11) The successful bidder shall replace the existing gas meter with the new gas
meter in accordance with requirement of Myanma Oil and Gas Enterprise
(MOGE) at its own cost in order to read the gas consumption of the Power
Plant.
(12) Actual Heat Rate of Power Plant shall be calculated by using energy meter
reading of energy meter located at the 66 kV GIS and gas meter reading of
new gas meter installed by the successful bidder on monthly basis. The

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 5

formula to calculate actual Heat Rate of Power Plant shall be the following;
“Actual Heat Rate for a month (Btu/kWh) = Actual gas consumption
recorded by new gas meter installed by the successful bidder for a month
(Btu) / Actual Electricity sent out recorded by the energy meter located at 66
kV GIS for a month (kWh)”
(13) The successful bidder shall be penalized 150% of the cost of the additional
gas consumed based on the rate paid by EPGE to the Myanmar Oil and Gas
Enterprise if the actual Heat Rate exceeds the guarantee heat rate.
(14) If the Actual Heat Rate of the Power Plant exceeds more than 5 % of the
Guarantee Heat Rate of the Power Plant for more than 3 aggregate months
during the contract term, EPGE has the right to terminate the contract
which will be entered between EPGE and successful bidder for purchasing of
electricity on IPP/BOO basis at Ahlone Power Plant in Yangon Region.
(15) COD of the Power Plant shall achieved after (4) hours continuous operation
of the Net Guarantee output and the actual heat rate during this 4 hours
continuous operation shall be less than or equal to the Net Guarantee Heat
Rate. To determine the Net Guarantee Output and Net Guarantee Heat Rate
of COD test of the Power Plant, energy meter reading of energy meter
located at the 66 kV GIS and gas meter reading of new gas meter installed
by the successful bidder shall be used.
(c) The Qualifications of Bidder
(1) Only the companies officially purchased the tender form from EPGE are
eligible to submit the proposals.
(2) The bidder or the affiliated group (in case of consortium) shall submit the
evidence of company registration and formation. In case of consortium the
affiliated group shall submit a copy of consortium agreement which is
officially stamped and signed by the authorized person from each member
of consortium and the evidence of each company registration and
formation.

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 6

(3) The minimum average annual turnover of the bidder or one of the affiliated
group (consortium) of bidder shall be USD fifty million (USD 50,000,000) for
the last five years (start from 2013 January). Audited financial report shall
be submitted.
(4) The bidder or one of the affiliated group (consortium) of bidder shall have
the experiences of power generation based on rental or Independent Power
Producer (IPP) basis with the following specific:
 within the last five years (start from 2013 January)
 customer’s reference letter evidencing the above.
(5) The bidder shall demonstrate that proposed Power Generation Unit of the
same model has been in reliable commercial operation for at two (2)
different projects situated on different sites with the following specifics;
 within the last five (5) years
 the reference units shall have been in successful operation for at least
5000 hours
 documentation evidencing the above.
(6) The bidder or the affiliated group (consortium) of bidder shall not have any
litigation with EPGE, other organizations involved in current project and
other projects.
(7) The bidder or the affiliated group (consortium) of bidder shall be
comprehensive with the appropriate complete employee/ employees for
running project and also the following consideration:
i) In order to perform as per stipulated schedule of the project of the
company structure, permanent employee team (Engineers, Design,
Management), they shall have full strength and guarantee to
accomplish in a timely manner.
ii) In order not to getting delayed, major employees such as Project
Manager or Resident Project Manager, Engineering Manager, Site
Manager shall be retained as auxiliary force for the operation of the
project.

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 7

(8) The bidder or the affiliated group (consortium) of bidder shall implement the
project successfully by international code and standard and high quality
capability.
(9) The bidder or the affiliated group (consortium) of bidder shall strictly comply
with the international environmental health and safety policy.
(10) In case of Power Plant implemented based on Power Barge/Power Ship,
certificate which establishes valid five (5) years seaworthiness of Power
Barge/ Power Ship and flag registration of Power Barge/ Power Ship shall be
provided in Exhibit 14.
(d ) Schedule for the bidding process
(1) The commercial proposal shall only be opened for accepted technical
proposals. After calculation of commercial proposals, first rank and second
rank bidders will be announced as short listed bidders. Contract negotiation
will be commenced with First Rank Bidder.
If agreement cannot be achieved with First Rank Bidder within 30 days,
EPGE will select Second Rank Bidder to negotiate the contract.
(2) Qualified and successful bidder will be announced and LoA will be signed.
(e) Proposal Security (Bid Security)
(1) Proposal Security (original) shall be in:
USD one million, five hundred thousand only [USD 1,500,000] passed
through Myanmar Foreign Trade Bank;
(OR)
Kyat two billion, two hundred fifty million [Kyat 2,250,000,000] from any
bank in Myanmar approved and accepted by Central Bank of Myanmar.
(2) After signing of LoA, the Proposal Security (Bid Security) shall be returned to
the unsuccessful bidders in accordance with SRFP (Supplemental Request
for Proposal)
(f) Performance Bank Guarantee (PBG)
(1) Within fourteen (14) days from the signing date of the agreement, the
successful Bidder shall submit as Performance Bank Guarantee (PBG):

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any third party without the written approval of EPGE. All rights reserved.
 8

USD one million, five hundred thousand only [USD 1,500,000] passed through
Myanmar Foreign Trade Bank;
(OR)
Kyat two billion, two hundred fifty million [Kyat 2,250,000,000] from any bank
in Myanmar approved and accepted by Central Bank of Myanmar.
(2) Validity of PBG shall be covered at least until the Commercial Operation Date
(COD) of Power Plant.
(3) Proposal Security (Bid Security) shall be released within seven (7) days after
PBG is submitted.
(4) PBG shall be released within ten (10) days after COD of Power Plant has been
achieved successfully.
3. The above-cited particulars shall be included in the Exhibit 6 of SRFP (Supplemental
Request for Proposal). The bidder must submit all information requested in SRFP on
the bid submission date.
4. For the enquiry of the further information, please contact and inquire to the following
address during office hour,
Tender Evaluation Committee,
Electric Power Generation Enterprise,
Ministry of Electricity and Energy
Office: No. 27/Nay Pyi Taw
Ph +95 67 8104282
Email, 1040mwtender@gmail.com

This document shall not be reproduced or distributed in whole or in part nor shall its contents be disclosed to
any third party without the written approval of EPGE. All rights reserved.
 Attachment 1

Gas Specification

Yadana Gas Composition

Component Mole
Name Percent
C1 69.938
C2 1
C3 0.168
iC4 0.018
nC4 0.031
iC5 0.0070
nC5 0.004
neoC5 0.003
C6+ 0.023
CO2 4.048
N2 24.756
H2O 0.002
H2S 0.002
TOTALS 100
Gross Calorific Value = 721.531 Btu/cf

1
 Attachment 2
Proposed Area for new power plant

Proposed area for

new power plant

2
 Attachment 3
Connection to 66 kV switch bay of new GIS

Connection point to 66 kV
switch bay of new GIS

3
 Attachment 3
Connection to 66 kV switch bay of new GIS

4
 Attachment 4
Existing Gas Supply Infrastructure

Existing Gas Supply Infrastructure